Bank Of America, Citigroup Incorrectly Hid Billions In Repo Debt

If you follow the banking and housing market, there has always been a 2+2=5 for us...something just didn't add up.

How do the largest banks in the US produce enormous gains when all around is collapsing...their coffers of homes are growing in essence becoming the largest "property managers" in the free world...next to the US government?

How do banks that are doling out billions each month for lost assets continue to increase in earnings?

Simply put, these banks have been deceiving there investors. These banks are shrouding their losses in deceptive accounting ...however, Wall Street Journal revealed today that BofA and CitiGroup purposely "hid" their housing losses to evoke and perpetuate it's "rebound" from the housing crisis.

What do we do with this information?

• This is criminal in it's purest form...and undoubtedly breaks many laws in both the banking and securities jurisdictions.
• Who will pay?
• Who will be the scapegoat?
• Who will go to jail?

 

Just published by Wall Street Journal:  More to follow.....

Bank of America Corp. (BAC) and Citigroup Inc. (C) incorrectly hid from investors billions of dollars of their debt, similar to what Lehman Brothers Holdings Inc. did to obscure its level of risk, company documents show.

In recent filings with regulators, the two big banks disclosed that over the past three years, they at times erroneously classified some short-term repurchase agreements, or "repos," as sales when they should have been classified as borrowings. Though the classifications involved billions of dollars, they represented relatively small amounts for the banks.

Best,